Snowy Hydro Ltd is proposing to develop a pumped hydro expansion of the Snowy Mountain Scheme with up to 2,000MW capacity.

Snowy 2.0 will link the two existing reservoirs of Tantangara and Talbingo through underground tunnels and there will be an underground power station in between with pumping capabilities. The project will involve underground excavation and tunnelling works between Tantangara and Talbingo reservoirs to depths of up to 1 kilometre.

In December 2018, the board of Snowy Hydro approved the project at an estimated cost of between $3.8 and $4.5 billion.

The project needs further approval from the Australian Government.

If approved, the first energy generation from Snowy 2.0 is expected in late 2024.

In February 2019, Stage 1 of the project, exploratory works including the construction of an exploratory tunnel and portal, was approved.

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